Punjab floats a company for promoting R&D in industry

THE PUNJAB GOVERNMENT will float a company which will act as a facilitator in promoting research and product innovation. The company will collaborate with industry, academia, technical and research institutions. These institutions will do research for the industry and finally transfer the technology to achieve the envisioned national goals.

Major industries in Punjab are witnessing a negative growth because of stagnation in spending on research and development. The SMEs have neither innovative strategy nor required human resources to undertake the research, so this company will go a long way in promoting innovations.

According to Mr. Rajat Agarwal, CEO, Punjab Bureau of Investment Promotion, the state government is planning to incorporate a Section 8 Company and will get it registered with the Ministry of Corporate Affairs to promote research and development. The incorporated company will pass on the requirement of the industries to technical and research institutions for undertaking research and development.

The main purpose of Section 8 Company is essentially to work for the welfare of society and is formed in public interest, without any intention to get any kind of profit or dividend. The Punjab Infotech will be a major stakeholder.